Adapting to the death of third-party cookies
It’s been nearly a year since Apple’s iOS 14 update came out, resulting in the death of third-party cookies. Every marketer freaked out at the thought of having to do their own work, as well as a rise in acquisition costs.
Why? It’s because brands were forced to re-think their marketing strategies. For example, acquisition costs increased and it has also influenced marketers to focus on clicks rather than relationships.
Say goodbye to third and say hello to zero-party data
Brands need to foster long-term relationships with customers, and integrate DTC strategies into their marketing mix. Zero-party data allows marketers to become more personalised, however it comes with a risk. Consumers are 3x more likely to abandon a brand when they feel that they are being aggressively stalked with too much personalisation.
Watch this episode as our Shopify experts share how to use data to increase conversions:
What is the difference between personal data?
- Third-party data: This is data purchased from data aggregators or gained from a platform, such as Facebook.
- Second-party data: This is first-party data that has been secured from another party. For example, an airline company and a credit company work together on an air points system and they share the data. The credit company then sees the customers’ related travelling habits, therefore targets them specifically based on that data.
- First-party data: Brands collect this data from their website passively. In other words, they would be collecting this data anyway. This includes sales information, personal information, purchase history, subscription status, discounts used, and loyalty programmes used. First-party data is something brands can also retrieve from analytics and use to map out user behaviour, segments and personas.
- Zero-party data: This data solicits a direct interaction from a brand’s audience and enables marketers to get very personalised. Brands receive zero-party data faster and the user knows they are providing this information. For example, data from surveys, questionnaires, and pop ups.
What can brands do with zero-party data?
44% of consumers said it’s ok for a brand to use their data to serve them up relevant content. Brands can provide their customers with a more personal, relevant experience. This results in increased conversion rates, increased AOV, improved engagement, and more! It’s important for marketers to think about the strategic questions required to gain the zero-party data, so they know when and how to collect the information.
Tools to use across the customer lifecycle
Here are the top apps our eCommerce experts recommend to leverage zero-party data and drive conversions:
Octane AI
Octane AI is a trusted tool to support brands by building customer relationships with logical quizzes and pop-ups. It allows marketers to gain a deeper understanding of their customer relationships. For example, a skincare brand can understand what type of skin their customers have.
View our podcast episode, Personlisation = increased conversions with Octane AI.
Klaviyo
Segment your data and use it to create meaningful flows that stand out from the crowd. Klaviyo can grow your relationships with powerful automation and ecommerce integration. For example if you are a golf retailer and specifically want to target left-handed females in Australia, you can send a targeted email flow. Once you understand more about your customers through zero-party data, these email flows can get more targeted. Currently SMS is available through Klaviyo in the USA and Australia, and they are working on it in NZ.
View our podcast episode, The future of SMS marketing with Klaviyo.
Bonjoro
At a time when face to face shopping is a thing of the past, stand out in front of your customers by sending relevant, engaging videos. Bonjoro uses existing sales tools to send personal videos at key moments in a customer’s journey.
View our podcast episode, Personalisation is king in eCommerce with Bonjoro.
Zero-party data and personalisation go hand in hand. Utilising these throughout the customer lifecycle will give you the best results. Integrate all of these for the best results!
